Absorbent glass mat (AGM) batteries are maintenance-free lead-acid batteries that use absorbed glass mat technology. AGM batteries are used as starting, lighting and ignition batteries in automobiles and for deep cycle and standby power applications. One of the key advantages of AGM batteries is their enhanced charge acceptance and cycle life as compared to other lead-acid batteries. The need for reliable backup power solutions across industries coupled with growing demand for renewable energy is driving the AGM battery market.

The Global Absorbent Glass Mat Battery Market is estimated to be valued at US$ 16.96 Bn in 2024 and is expected to exhibit a CAGR of 9.5% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the Absorbent Glass Mat Battery market are Procter & Gamble Co., Henkel AG & Co. KGaA, Unilever PLC, Reckitt Benckiser Group PLC, Church & Dwight Co., Inc., Colgate-Palmolive Company, Kao Corporation, Lion Corporation, The Clorox Company, McBride plc, S. C. Johnson & Son, Inc., Seventh Generation, Inc. (Unilever), Nice Group, Nirma Limited, Liby Enterprise Group Co., Ltd. Growing concern towards the environment has increased the demand for renewable energy sources, which is driving the adoption of AGM batteries. Technological advancements centered around improved cycle life, low maintenance and enhanced charge acceptance of AGM batteries have boost their uptake across industries.

Market Trends

Absorbent Glass Mat Battery Market Demand  are becoming a battery of choice for electric vehicles due to their spill proof nature and deep cycle capabilities. Moreover, increasing focus on developing grid-scale energy storage solutions is contributing to the demand for AGM batteries used in renewable energy integration.

Market Opportunities

Rising adoption of micro-grid systems is expected to offer lucrative opportunities for AGM battery manufacturers. Additionally, growing demand for off-grid renewable power infrastructure in remote areas without electricity access will augment the demand for AGM batteries over the forecast period.

Impact of COVID-19 on Absorbent Glass Mat Battery Market

The COVID-19 pandemic has significantly impacted the growth of the absorbent glass mat battery market. During the initial lockdown phases in 2020, the demand from the lead-acid battery industry declined sharply as automotive manufacturing plants were shut down. This led to a reduction in the production of absorbent glass mat batteries which are primarily used in automotive applications such as start-stop technology. However, with the restart of automotive manufacturing plants and increased vehicle sales post lockdowns, the demand is recovering gradually. The market is projected to grow at a steady pace over the forecast period with the resumption of manufacturing activities.

The ongoing semiconductor chip shortage is still affecting the automotive industry and hence impacting the demand from the absorbent glass mat battery segment. Manufacturers need to focus on developing long-lasting and high-performance batteries to boost the adoption of start-stop technology in new vehicles. The demand from data centers and telecom industry for backup power solutions provides new opportunities to absorbent glass mat battery manufacturers. Initiatives are being taken to ramp up production capacities and ensure smooth supply chains. Once the automotive production bottlenecks are resolved completely, above-average growth rates are expected in key regional markets.

North America holds the largest share in terms of value in the absorbent glass mat battery market currently. Factors such as high vehicle fleet and rising penetration of start-stop systems drive the demand in the region. Stringent emission regulations in countries like the United States and Canada are compelling automakers to adopt smart battery technologies for improved fuel efficiency. Europe follows North America in terms of market size due to the large automotive manufacturing base and focus on green transportation policies.

The Asia Pacific region is expected to be the fastest growing market for absorbent glass mat batteries over the forecast period. Countries like China, India, Japan and South Korea are experiencing strong growth in vehicle production and sales. Rapid industrialization along with expansion of data centers and telecom networks also contributes to the increasing demand. Though the market was significantly impacted by COVID-19 in 2020, it is projected to recover at a higher pace compared to mature markets aided by industrial resurgence.

Geographical Regions for Absorbent Glass Mat Battery Market

The North American region holds the largest market share in terms of value for absorbent glass mat batteries currently. This is majorly attributed to the high vehicle fleet in countries like the United States and Canada, supported by stringent emission regulations mandating improved fuel efficiency. Original equipment manufacturers (OEMs) are increasingly including micro-hybrid technologies such as start-stop systems in vehicles to comply with CAFE (Corporate Average Fuel Economy) standards. As per the 2026 CAFE rules, the passenger car and light truck fleet is required to achieve a real-world fuel economy improvement of around 8% annually. This is creating strong demand for absorbent glass mat batteries in the region as they are the preferred battery type employed in start-stop systems. The presence of automotive battery manufacturing plants of leading companies like Johnson Controls, Exide Technologies, Vision Group and Trojan Battery also makes North America a prominent market.

Fastest Growing Region for Absorbent Glass Mat Battery Market

The Asia Pacific region is expected to be the fastest growing market for absorbent glass mat batteries between 2024-2031. Developing economies in the region, especially China and India, are witnessing high sales of passenger and commercial vehicles. Original equipment fitment of micro-hybrid technologies in vehicles to comply with fuel efficiency norms is gaining momentum. This is driving the need for absorbent glass mat batteries supporting start-stop and regenerative braking applications. Countries like China and Japan are also major manufacturing hubs for automotive batteries. Expanding fleet due to rising incomes, increased need for backup power solutions from growing industries and infrastructure development are some of the key demand determinants.
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